Gold Prices Rising, Gold Miners Falling medio may 2011
6:13 AM
Unknown
Intriguing divergence between Old Yeller and the Old Yeller miners today. The barbarous relic is gaining ground, but the miners are trading lower.
Gold, after suffering a 4% loss last week during the commodities sell-off, has recovered this week and is up about 1% at 1516.70/oz. If today’s gains stick, it will mark three straight session gains for Old Yeller, putting it about 3% off its record settle of $1566.70/oz reached earlier this month.
At the same time, Barrick Gold, Freeport McMoRan Copper & Gold, AngloGold Ashanti, Gold Fields and GoldCorp are all trading lower. Newmont Mining is eking out a small gain and the SPDR Gold Trust ETF is up 0.5%.
Gold miners fell sharply last week during the commodities rout, and it could be that investors in these stocks are a little nervous about the future path of gold prices.
At least one miner is less concerned about gold prices. Bank of America Merrill Lynch reports from its metals & mining conference in Barcelona: “Barrick sees the major influences that have driven the gold price in recent years intensifying. These include expansive monetary policies, sovereign debt concerns, geopolitical uncertainty, and currency diversification among central banks.”
Posted in 
Subscribe to:
Post Comments (Atom)
No Response to "Gold Prices Rising, Gold Miners Falling medio may 2011"
Post a Comment